Analysis Of Genuine Parts Company

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Genuine Parts Company (GPC) is a service organization which distributes vehicle replacement parts, industrial replacement parts, office products and electrical materials. It was founded in 1928, and has about 2000 locations across the U.S, Mexico and Canada (Investor Overview). The Automotive Parts Group, distributes over 380,000 parts through NAPA. For the Industrial Replacement Parts, Motion Industries distributes over 300 million items through their rapid-delivery model. S.P.Richards is in charge of distributing 50,000 business products, like office supplies. The Electrical/Electronic Materials Group is one of North America’s leading distributors of process materials, production supplies, and value added fabricated parts(Genpt). GPC’s main headquarters is located in Atlanta, Georgia (Genpt). In 2013, 53% of GPC’s earnings come from NAPA, 31% from its Industrial replacement parts, 12% from office products and 4% from Electrical parts (Genuine Parts Co. 2013 Annual Report).
ENVIRONMENT:
The economic factors that affect the Company are instability in credit markets, declining consumer and business confidence, fluctuating commodity prices, and volatile exchange rates (Genuine Parts Co. 2013 Annual Report). GPC’s shares appeared to be reasonably priced. It has a covered dividend with a history of increase and is rising to this day and GPC currently pays an annual dividend of $2.15 per share, which it has increased every year for the past 57 years (Saletta). Also, changes in general economic conditions, for example, unemployment, inflation or deflation, high energy costs, competitive product, service and pricing pressures can affect the company (Genuine Parts Co. 2013 Annual Report). Although Genuine Parts does have some factors t...

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...ices. That way people won’t have to go out looking for mechanics and save time.
WORKS CITED
Saletta, Chuck. "What Makes Genuine Parts Company's Stock Worth Owning? - DailyFinance." DailyFinance.com. 2 Feb. 14. Web. 20 Apr. 2014. http://www.dailyfinance.com/2014/02/02/what-makes-genuine-parts-companys-stock-worth-owni/ Genuine Parts Co. 2013 Annual Report. Web. 22 Apr. 2014 https://www.proxydocs.com/edocs/request?b=GPC&paction=doc&action=showdoc&docid=737527&se=737527 Genpt.com. NAPA, Motion Industries, S.P. Richards Co, and EIS. Web. 18 Apr. 2014 http://www.genpt.com/portal/page/portal/GENPT.COM/about About NAPA. Napaonline. National Automotive Parts Association, n.d. Web. 21 Apr. 2014 http://www.napaonline.com/about.aspx Investor Overview – Genuine Parts Company. Investor Overview. Web. 22 Apr. 2014.
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